NORTH CAROLINA GENERAL ASSEMBLY

1975 SESSION

 

 

CHAPTER 121

HOUSE BILL 415

 

 

AN ACT TO AMEND G.S. 36-32 TO PERMIT ALL FIDUCIARIES TO HOLD STOCKS AND BONDS IN THE NAME OF A NOMINEE.

 

The General Assembly of North Carolina enacts:

 

Section 1.  G.S. 36-32 as the same was variously amended by Chapter 144 and Section 1 of Chapter 497 of the 1973 Session Laws is hereby further amended and rewritten to read as follows:

"§ 36-32.  Fiduciaries holding stock or other securities in name of nominee. — A fiduciary may hold shares of stock or other securities in the name of a nominee without mention of the fiduciary relationship in the instrument representing stock or other securities or in registration records of the issuer thereof; provided that

(a)        the records and all reports or accounts rendered by the fiduciary clearly show the ownership of the stock or other securities by the fiduciary and the facts regarding its holdings, and

(b)        the nominee shall not have possession of the stock or other securities or access thereto except under the immediate supervision of the fiduciary or when such securities are deposited by the fiduciary in a clearing corporation as defined in G.S. 25-8-102(3).

The fiduciary shall be personally liable for any acts or omissions of such nominee in connection with such stock or other securities so held, as if such fiduciary had done such acts or been guilty of such omissions."

Sec. 2.  Chapter 144 and Section 1 of Chapter 497 of the 1973 Session Laws and all other laws and clauses of laws in conflict with this act are hereby repealed.

Sec. 3.  This act shall become effective upon ratification.

In the General Assembly read three times and ratified, this the 9th day of April, 1975.